Nutanix, a leader in hybrid multicloud computing, announced the findings of its sixth annual global Financial Services Enterprise Cloud Index (ECI) survey and research report, which measures enterprise progress with cloud adoption in the financial services and insurance industry. While current adoption of hybrid multicloud deployments remains consistent year-over-year in the financial services sector, respondents expect a significant 3x increase in adoption in the next three years, making it the leading IT model in the sector.
The Financial Services ECI report revealed that data
security and ransomware protection, implementing AI strategies, and minimizing
cost are driving IT decision makers infrastructure priorities. 99% of ECI financial services respondents
shared that they had experienced a ransomware attack at some point in the past
three years. 89% agreed that their organizations had room for improvement when
it came to their ability to protect against such attacks. AI was noted as a key
driver of IT infrastructure priorities as well, as IT leaders are increasingly
tasked to leverage AI solutions to improve decision-making and enhance customer
experiences.
This evolution reflects the strategic deployment by
financial services industries of diverse cloud environments tailored for
specific operational, cost, compliance, and control requirements. Hybrid
multicloud architecture’s appeal lies in its ability to offer diverse cost,
billing, and deployment options, empowering digital enterprises with the
flexibility to enhance application performance, bolster security, accelerate
time to market, and optimize IT expenditures.
“It is startling to see that nearly all the
financial services respondents in this year’s ECI Survey have experienced a
ransomware attack,” said Lee Caswell, SVP Product & Solutions Marketing at
Nutanix. “It’s a sign of the times that hybrid multicloud adoption is set to
triple as financial services users gear up for heightened cybersecurity risks
as new regulatory requirements, such as the EU’s 2025 Digital Operational
Resilience Act (DORA), go into effect - making data protection and disaster
recovery a hybrid multicloud imperative.”
Financial services respondents were asked about their current cloud challenges, how they’re running business applications today, and where they plan to run them in the future. Key findings from this year’s report include:
- Financial services
decision-makers share that cybersecurity remains paramount, yet emphasis on AI
Investment and managing overall costs sit closely behind. Half of the respondents
(50%) reported that their organizations required a few days or a few weeks to
fully restore operations following a cybersecurity incident. Another 12% said
that while operations were mostly restored within a few days or weeks, the
impact of the attack on the enterprise lasted beyond the restoration of daily
operations.
- Sustainability and
flexibility top the list of key factors for decision making. For financial service
companies selecting cloud services (private, hybrid, or public), flexibility,
security, and data capabilities have consistently been key criteria this year
and last. When ECI respondents were asked to identify the single most important
factor influencing their IT infrastructure purchasing decisions, sustainability
was the top selection (15%), closely followed by the flexibility to manage
workloads across various on-premises and cloud infrastructures (14%), and cost
considerations (14%). This varied compared to other sectors where
sustainability and cost were generally ranked as less important.
- How FinServ CIOs are
thinking about infrastructure priorities. As hybrid multicloud
environments grow, so are infrastructure and workloads. Cloud (78%), data and
AI (77%), and ransomware protection (77%) are seeing significant growth.
Despite frequently citing sustainability as critical to purchasing decisions,
few institutions plan to significantly increase investments in this area next
year. The largest projected increases in IT budgets are for AI (39%), followed
by ransomware prevention (34%) and IT modernization (30%). Overall, 78% of
respondents intend to boost spending on cloud computing, with 77% planning
increases for AI and ransomware protection.
- The desire to improve data
access performance, security, and regulatory compliance are why financial
enterprises relocate applications to a different infrastructure. Nearly all respondents
(97%) in the financial services sector and 95% globally said they had moved one
or more applications to a different IT infrastructure in the past 12 months,
creating a need for simple and flexible inter-cloud workload and application
portability. Application movement in financial services was motivated most
often by a desire to enhance performance/data access speeds (42%), followed by
improving security and regulatory compliance (41%).
- The top-ranked challenges
in financial services IT departments are cyber and compliance related. Among financial services
respondents, ransomware prevention/data security and adherence to data
storage/usage mandates, like DORA, were both cited as the top data management
challenges today, each by 19% of respondents.
For the
sixth consecutive year, Vanson Bourne conducted research on behalf of Nutanix,
surveying 1,500 IT and DevOps/Platform Engineering decision-makers around the
world in December 2023. The respondent base spanned multiple industries,
business sizes, and geographies, including North and South America; Europe, the
Middle East and Africa (EMEA); and Asia-Pacific-Japan (APJ) region.
To learn more about the report and findings, please
download the full Financial Services Nutanix Enterprise Cloud Index, here.
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Are you reaping the benefits of your multi cloud strategy?
by Stéphane Zema I 9:56 am, 21st May
Cloud adoption has been increasing rapidly in various sectors, with certain organisations opting for a multi cloud approach. Employing a multi cloud strategy comes with crucial benefits, but it involves a specific set of challenges as well. It can naturally be more complex to run compared to more traditional single cloud models. Such a strategy must be properly planned and long-term impacts on the organisation must be considered, otherwise this could lead to confusion between the teams, increased complexity, and additional costs.
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